The role of competition in determining the prices of generic drugs in Brazil
Abstract
The objective is to analyze the role of competition in selected relevant markets (RM) and its influence on the price differential between generic and reference medicines. This is a case study of 268 commercial presentations of drugs classified as RM in 2001 and 2016. The data came from the database used by Author (2002) and the Statistical Yearbook of the Pharmaceutical Market for the year 2016 to obtain the degree of concentration; and 10 pharmacy and drugstore websites to obtain prices in 2019. The results indicate that the 35% margin on the price of the reference drug imposed at the factory price for the entry of the generic on the market is low in relation to the differential average retail prices. Furthermore, it was noted that the greater the number of suppliers, the greater tended to be the price differential between generics and reference.
Published
Issue
Section
License
Authors who publish in this journal agree to the following terms: Authors retain copyright and grant the journal the right of first publication, with the work simultaneously licensed under a Creative Commons Attribution License, which allows the sharing of the work with acknowledgment of authorship and initial publication in this journal. Authors are authorized to enter into additional contracts separately for the non-exclusive distribution of the version of the work published in this journal (e.g., publish in an institutional repository or as a book chapter), with acknowledgment of authorship and initial publication in this journal. All content of the journal, except where identified, is licensed under a Creative Commons Attribution BY-NC License.
